Arbitration Clause

Most major interstate moving contracts include arbitration clauses, mandated by FMCSA for interstate household-goods moves above a certain valuation threshold. The arbitration provider (American Moving & Storage Association arbitration program, AAA, or similar) hears disputes. Awards are binding and difficult to appeal. Customers waive their right to court litigation by signing the BOL.

Customers should read the arbitration clause before signing the BOL. Arbitration favors movers slightly because the arbitrators are industry-savvy, but it's typically faster and cheaper than litigation. For most claims under $5,000, arbitration is appropriate; for larger disputes, the binding nature is a real consideration.

Muscleman Elite's BOL includes the federally-required arbitration clause for interstate moves. We prefer to resolve disputes directly without arbitration; we treat the arbitration option as a last resort, not a first response.

Do I have to agree to arbitration?

For interstate moves above the federal threshold, FMCSA mandates that carriers include the arbitration option. You can technically reject the BOL terms but then the move cannot proceed.

Does arbitration favor the mover?

Slightly. Arbitrators are industry-trained. But arbitration is faster and cheaper than court, and the carrier still has a record on file with FMCSA either way.